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Banking

Below Par

Trading a debt security like a bond/ note at a price lower than its par value (face value). Face value/...

At-a-Discount

Trading a debt security like a bond/ note at a price lower than its par value (face value). Face value/...

EIM

It stands for effective interest method; an method/ technique whereby the amortized cost of a financial asset or a financial...

Effective Interest Method

An method/ technique whereby the amortized cost of a financial asset or a financial liability is calculated to the effect...

Amortization of Bond Discount

The amortization of bond discount is the allocation of the discount over the remaining life of the bonds to account...

Bond Discount

The amount by which the total interest cost associated with a bond issue exceeds the total interest payment. For example,...

Bond Discount

The amount by which a bond's price falls below its maturity value (i.e., par value). In other words, it is...

Bond Price

The price that investors pay, or are willing to pay, for a bond. Intrinsically, bond prices are linked to the...